Between 2001 and March 2003, Iraq and Syria utilized the 50-year-old, 32-inch Banias Oil Pipeline in violation of U.N. sanctions. The Banias line, from Iraq's northern Kirkuk oil fields to Syria's Mediterranean port of Banias (and Tripoli, Lebanon), reportedly was being used to transport as much as 200,000 bbl/d of Iraqi oil, mainly from southern Iraq, to Syrian refineries at Homs and Banias. The oil was sold at a significant price discount and freed up additional Syrian oil for export. Iraq and Syria also had talked of building a new, parallel pipeline as a replacement for the Banias line. In March 2003, flows on the pipeline were halted, although the U.S. Defense Department denied that its forces had targeted the line. In early March 2004, it was reported (by Dow Jones) that the Iraq-Syria pipeline was ready for use at 250,000 bbl/d.

During the Iran-Iraq War, Iraq also built a pipeline through Saudi Arabia (called IPSA) to the Red Sea port of Mu'ajiz, just north of Yanbu. IPSA has a design capacity of 1.65 million bbl/d, but was closed after Iraq invaded Kuwait in August 1990.

 

In June 2001, Saudi Arabia expropriated the IPSA line, despite Iraqi protests. In June 2003, Thamir Ghadban said that he hoped Iraq would be able to use the IPSA line again. However, the Saudis have stated that they are not willing to do this, having converted the line to carry Natural Gas to the Red Sea industrial city of Yanbu for domestic use.

In order to optimize export capabilities (i.e., to allow oil shipments to the north or south), Iraq constructed a reversible, 1.4-million bbl/d "Strategic Pipeline" in 1975. This pipeline consists of two parallel 700,000-bbl/d lines. The North-South system allows for export of northern Kirkuk crude from the Persian Gulf and for southern Rumaila crudes to be shipped through Turkey. During the 1990/1991 Gulf War, the Strategic Pipeline was disabled after the K-3 pumping station at Haditha as Well as four additional southern pumping stations were destroyed.

 

In June 2003, the NOC estimated that it would take "a long time" to repair the K-3 pumping station and resume operations on the Strategic Pipeline. The whole system also reportedly is in need of modernization.